Bioanalytical Systems (BASI)

In connection with the preparation of our financial statements for the fiscal
quarter ended June 30, 2006, we concluded that there is a permanent impairment
of value of the assets of one of the companies we acquired, and have recorded a
charge to general and administrative expenses of $1,100,000 to write down the
value of fixed assets by $330,000 and other intangible assets by $387,000, and
reduce the value of goodwill by $383,000. We also recorded a deferred tax benefit
of $385,000 related to this charge. Pursuant to the instructions to Item 2.06 of
Form 8-K, the information required by such Item is included in the Management's
Discussion and Analysis of Financial Condition and Results of Operations above.
Please see the heading Results of Operations  Impairment Loss on
Intangible Assets and Goodwill, which information is incorporated herein by this
reference.

In connection with the preparation of our financial statements for the fiscal
quarter ended June 30, 2006, we concluded that there is a permanent impairment
of value of the assets of one of the companies we acquired, and have recorded a
charge to general and administrative expenses of $1,100,000 to write down the
value of fixed assets by $330,000 and other intangible assets by $387,000, and
reduce the value of goodwill by $383,000. We also recorded a deferred tax benefit
of $385,000 related to this charge. Pursuant to the instructions to Item 2.06 of
Form 8-K, the information required by such Item is included in the Management's
Discussion and Analysis of Financial Condition and Results of Operations above.
Please see the heading Results of Operations  Impairment Loss on
Intangible Assets and Goodwill, which information is incorporated herein by this
reference.

In connection with the preparation of our financial statements for the fiscal
quarter ended June 30, 2006, we concluded that there is a permanent impairment
of value of the intangible assets of one of the companies we acquired, and have
recorded a charge to general and administrative expenses of $968,000 to write
off the goodwill of $383,000 and other intangible assets of $585,000 remaining
from the acquisition. We also recorded a deferred tax benefit of $339,000
related to this charge. Pursuant to the instructions to Item 2.06 of Form 8-K,
the information required by such Item is included in the Management's Discussion
and Analysis of Financial Condition and Results of Operations above. Please see
the heading Results of Operations  Impairment Loss on Intangible Assets
and Goodwill, which information is incorporated herein by this reference.